Way Beyond a ‘Crisis of Confidence’

What happens to the economy after public funds have been burned to prop up too-big-to-fail banks? What future awaits the people left to repay the debt issued on such flawed policy? For reasons that remain a mystery to me, the markets remain positive. People still go to the mall and buy on credit. Morons.

Maybe they have an insight I lack or maybe they are just trapped in a crevice where it’s impossible to see through the walls of their intestines. Nonetheless, the vaunted ‘Stress Tests’ will soon be revealed. Turbo Timmy’s newest gimmick will of course serve the Fed and Treasury’s interest in addressing market confidence. Don’t be surprised when the details are revealed if the results are skewed positive with Happy-Happy-Joy-Joy ringing throughout the land. Since the government feels this is a “crisis of confidence”, you can bet the announcements will declare all is well on every ounce of media bandwidth. Do not be deceived. The bandwidth has been hijacked.

“In the vast, raging deluge of falsehoods, fantasies, fabrications, and fake-outs that passes for news in the U.S., the river of informational sewage that collects in drips and spews from ducts and runoff of coin operated media outlets, occasional shimmering snippets of verified truth from immaculately credible sources bob improbably among torrential turd-waves of propaganda, hoopla, and fluff. From a perch at the shore they enter our field of vision and drift by like an immaculate flotilla of shimmering white swans on a river of shit, their incongruous beauty commanding our shocked attention.

We crane our necks to catch every detail, to savor the vision of purity and grace before it is washed down river to churn out into the deep, green sea of essential knowledge – after decades so polluted by deceit, deception, dishonesty, and distortion that we can no longer see the bottom. Lost and long forgotten, like Garret Garrett’s 1932 global credit bubble classic The Bubble that Broke the World, waiting to be dug up by the next generation of historians after its credit bubble collapses, leading them to ask, “Do we never learn?””

My reply: No. The dominoes will continue to cascade until the great unwinding has finished and only a cracked shell of our former self will remain, haunting us with the memories of blessings and a greatness we once possessed.